WTO sets up dispute panel to resolve India-US solar issue

SolarMonday, July 21, 2014: Taking a step ahead in resolving the solar issue between India and US, WTO has constituted a dispute panel, that will examine the complaint filed by US against Indian policies. US has raised an objection against India’s domestic solar equipment requirement, as per the solar power programme.

Informing the Parliament about the update, Commerce and Industry Minister Nirmala Sitharaman said, “Since the consultations could not result into satisfactory outcome, on the request of the US, the Dispute Settlement Body established the WTO dispute panel in May. Once the panel is composed, the panel proceedings shall be finalised by the WTO secretariat.”

The US has raised its voice against the Indian measures taken to ensure limited imports. In addition, the US has also claimed that the DCR is violating the WTO agreements including that of the national treatment principle and agreement on trade related investment measures.

Consultations were held with the US under the WTO’s dispute settlement mechanism between March 2013 to March 2014, but nothing concrete could come out. However, the minister informed that the country is working on ‘the defence strategy based on WTO principles and jurisprudence’.

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